DJI Still Faces Challenges in the US, Remains Designated a "Chinese Military Company"

DJI has failed to overturn the US Government's insistence that the company is a "Chinese Military Company", creating continuing issues with the availability of the latest drones and more.

Anybody looking to buy the latest DJI equipment in the US is going to face continued difficulties as the world's largest consumer drone manufacturer has failed in its bid to overturn the US Department of Defense (DoD) decision that it should be designated as a “Chinese Military Company.”

Given that the Department of Defense has been renamed by Trump as the Department of War, it hardly seems that oil will be poured on troubled waters any time soon. 

The Origin of DJI's "Chinese Military Company" Listing

All this started back in 2022 when the then DoD added DJI to its official list of Chinese military companies operating in the United States, citing potential national security risks. DJI responded strongly, saying that this was all based on a DoD report that was based on  incorrect legal standards, confused different people with common Chinese names, and failed to demonstrate any connection between DJI and the Chinese military.

"DJI stands alone as the only drone company to clearly denounce and actively discourage military use of our products, including suspending all business operations in Russia and Ukraine to try to keep our drones out of the conflict there," it said in a statement in October 2022.

"We stand ready to formally challenge our inclusion on the list."

A lawsuit was eventually filed in October 2024 after a long period when DJI says it tried to engage with the Pentagon for sixteen months but got nowhere. It also found itself under increasing pressure due to the US government being urged to probe allegations that it was seeking to dodge trade restrictions through the use of front companies. As most people who have tried know, you can still buy DJI products in the US, just not officially from the company itself.

So now, three years after this all started, we finally have a ruling.

The Latest Ruling

US District Court Judge Paul Friedman issued a 49-page ruling rejecting DJI’s request for removal from the list. He acknowledged that the DoD’s evidence was “not bulletproof” when it came down to it, but stressed that courts must defer to the Defense Department on matters relating to national security.

The judge found:

• The DoD has broad discretion in determining which entities to designate.

• There is evidence that DJI may be a “military-civil fusion contributor,” sufficient grounds for its listing.

• DJI has received financial support from the Chinese government, which the DoD may interpret as justification for its designation.

While Judge Friedman disagreed with some DoD conclusions regarding DJI’s ownership and ties, he did say that ownership was difficult to discern. Largely, it seems that DJI's presence on the list is being upheld due to the Pentagon’s wide authority in all defense matters.

DJI's Statement in Response

Following the ruling, DJI issued a statement saying it was “pleased” that the Court rejected most of the DoD’s allegations but “disappointed” the designation was upheld.

"First, the Court affirmatively rejected most of DOD’s allegations,." it wrote. "It found no basis for DoD’s claims that DJI is owned or controlled by the Chinese Communist Party, affiliated with China’s Ministry of Industry and Information Technology, or affiliated with a military-civil fusion enterprise zone."

Also: "The Court also upheld DoD’s assertion that DJI’s technology has “substantial dual-use applications in military and civilian settings” because, like many other off-the-shelf commercial technologies, it can be misused in military contexts."

DJI Drones in Ukraine

This is very true. Despite the aforementioned suspension of business activities in Russian and Ukraine, the Ukrainian Ministry of Defence confirmed it had spent UAH 1.1 billion (about $27 million) buying 7200x DJI Mavic 3E and 1000x DJI Mavic 3T drones in May 2024. 

"Drones have evolved into an essential component of modern warfare. They strengthen our defense capabilities, increasing military operations' effectiveness. Therefore, the procurement of drones is one of the main tasks of the Ministry of Defense. Our troops must be provided with everything necessary in a timely manner to have the ability to respond to any threats from the enemy," said Deputy Defense Minister of Ukraine Dmytro Klimenkov.

What Happens Next?

Back to the US and an appeal looks a likely prospect, but Judge Friedman's deferment to the Pentagon in these circumstances could make DJI's legal options worryingly narrow.

Against that, government agencies and first responders depend on DJI drones, and plenty of people point out that — like the iPhone — there isn't really a US-manufactured alternative in the same price performance bracket. However, the Hawks seem to be more in control.

Congresswoman Elise Stefanik (R-NY) sponsored the Countering CCP Drones Act.
“It is strategically irresponsible to allow Communist China to be our drone factory," she said. Overturning that sentiment will take some impressive flying.

Update - 14 October, 2025

DJI has indeed filed an appeal. 

“We respect the Court’s process but are disappointed that the designation remains in place despite findings that reject the core of the DoD’s allegations. We will continue to defend the integrity of our company as the findings reaffirm what we have maintained all along—that DJI operates independently, has no government or military affiliation, and is committed to the responsible development of drone technology.”